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City Council Item I2-1 for November 14, 2012

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«—« r,"RAMPTON r-I CityReport Council brampton.ca HOWGr LllV The Corporation of the City of Brampton 1 Report from the Office of the CAP and Senior Management Team Date: November 1,2012 BRAMPTON CITY COUNCIL File: M25-lnternational Business Development Plan ratb. MotfgJKDgrl^Zot^ Subject: Information Report: Confederation of Greater Toronto Chinese Business Association 2012 China Trade Mission Contact: John Corbett, Chief Administrative Officer (Tel: 905-874-4616) Dennis Cutajar, Commissioner Economic Development & Communications (Tel: 905-874-2698) OVERVIEW • The purpose of this report is to inform Council of an upcoming economic development initiative to China, from November 23 to December 8. • Along with other municipalities in Southern Ontario, a delegation from the City of Brampton will be joining the Confederation of Greater Toronto Chinese Business Association (CGTCBA) on their mission to China. • CGTCBA was jointly incorporated in 1998 by four business associations - Mississauga, Richmond Hill & Markham, Scarborough York Region &Toronto. • The CGTCBA mandate states that it "plays a key role in promoting business and trade among the Chinese and mainstream communities, provides members opportunities to enhance their competitiveness, helps bridge the Canadian Chinese business community with all levels of the government". • The goal of the 2012 China Trade Mission is to further strengthen and promote greater economic, business and cultural ties between Canada and China. CGTCBA and the participating municipalities believe the Mission will allow participants to extend friendship, establish connections, strengthen existing relations, promote Canadian investment products and services, explore opportunities for joint ventures, and source potential suppliers. • Four City of Brampton representatives are scheduled to attend this mission, and the total estimated cost is approximately $36,700. • In June 2011, Council approved the International Business Development & Marketing Plan 2011-2014, including this business mission to China. RECOMMENDATIONS 1. That the report prepared by Dennis Cutajar, Commissioner of Economic Development and Communications, dated November 1,2012 to the Council meeting of November 14, 2012, re: Information Report: Confederation of Greater Toronto Chinese Business Association 2012 China Trade Mission (File M25), be received. X2-I-2 BACKGROUND Origin of Report In June 2011, Council approved the following staff recommendations: 1. That the report prepared by Dennis Cutajar, Commissioner of Economic Development and Communications, dated June 6, 2011, to the Committee of Council meeting of June 15, 2011, re: International Business Development and Marketing Plan 2011-2014 be received; and 2. That, the Brampton International Business Development and Marketing Plan 20112014 as outlined in this report be approved by Council; and 3. That, the Commissioner of Economic Development and Communications (or his staff designate from the Economic Development Office) be authorized to participate on international activities outlined in this Plan; and further the participation of the Mayor's Office and Council members shall be in keeping with Council's Business Mission Attendance Protocol; and 4. That the results related to this Plan be included in the Department's annual Service Plan and Budget presentations to Council. In this Plan, China was identified as a target market in the year 2013. About the International Business Development and Marketing Plan 2011-2014 The mission statement of this Plan is focused on planning and implementing pro-active business development and marketing activities in key industry sectors and international geographic markets. The mission statement demonstrates that the City of Brampton is committed and dedicated to expanding Brampton's brand and image as an attractive location for business investment, strategic alliances (including partnerships focused on trade, jointventures, joint marketing and other alliances) and municipal cooperation. The goals are designed to develop an international presence, partnerships and brand in key industry sectors and markets. Specifically, the goals shall: 1. Increase Brampton's profile and brand as an attractive business investment location in key industry sectors and international geographic markets 2. Promote Brampton companies through strategic alliances and network opportunities with domestic and international partners including industry associations, trade associations, provincial and federal governments and other strategic partners in key sectors and international markets. 3. Promote municipal co-operation between the municipality of Brampton and international municipalities. X2-J-2 CURRENT SITUATION Organizers of the 2012 China Trade Mission The organizer of the 2012 China Trade Mission is the Confederation of Greater Toronto Business Association, a non-profit umbrella organization formed in 1998 comprised of several Chinese Business Associations in the GTA. The organizers include the following four Business Associations' Presidents, namely Lilian Kwok of Mississauga Chinese Business Association (MCBA), Kenny Wan of Richmond Hill Markham Chinese Business Association (RHMCBA), Johnny So of Scarborough York Region Chinese Business Association (SYRCBA) and Benny Cheung of Toronto Chinese Business Association (TCBA), together with the 2012 China Trade Mission Committee two Co-Chairs Ben Leung and Winnie Fung. Purpose of 2012 China Trade Mission Building on the success of the 2010 China Trade Mission, the 2012 mission is to build and strengthen relationships for Canadian municipalities and businesses with their counterparts in China. Itinerary & Municipal Attendance - 2012 China Trade Mission The mission will depart Toronto on its first leg to Shanghai on Friday, November 23 and end in Hong Kong on December 4,2012 (with an extended business program option to December 8, 2012). Four Mayors and 2 Deputy Mayors will attend: Mayor Frank Scarpitti of City of Markham Mayor Susan Fennell of City of Brampton Mayor Rob Burton of Town of Oakville Mayor Jeff Lehman of City of Barrie Deputy Mayor Gino Rosati of City of Vaughan Deputy Mayor William Hamilton Woo of the Municipality of Clarington, Approximately 60 delegates from government, communityand business sectors will participate in the 2012 China Trade Mission. About the Markets - 2012 China Trade Mission The delegation will meet with business and government representatives, and promote their jurisdictions in the following markets. Shanghai With a population of over 20 million, Shanghai is widely regarded as the centre of finance, trade and communications in China. As one of the world's busiest ports, Shanghai is a major destination for foreign corporate headquarters, fuelling demand for a highly educated and modernized workforce. Shanghai has one of the world's busiest ports. Since 2005, Shanghai has ranked first of the world's busiest cargo ports throughout, handling a total of 560 million tons of cargo in 2007. Shanghai container traffic has surpassed Hong Kong to become the second busiest port in the world, behind Singapore. Shanghai has recorded a double-digit growth for 15 consecutive years since 1992. In 2008, Shanghai's nominal GDP posted a 9.7% growth to 1.37 trillion Yuan. Beijing As the Capital City of the People's Republic of China, Beijing is the country's centre of politics, culture, education and diplomacy. Beijing is amongst the most developed cities in China with tertiary industry accounting for 73.2% of its GDP, making it the first post­ industrial city in mainland China. Finance is one of the most important industries of Beijing. By the end of 2007, there are 751 financial organizations in Beijing that generated 128.6 billion RMB revenue accounting for 11.6% of the total financial industry revenue of the entire country. It also accounts for 13.8% of Beijing's GDP, the highest percentage of that of all Chinese cities. Beijing is increasingly becoming known for its innovative entrepreneurs and high-growth start-ups. This culture is backed by a large community of both Chinese and foreign venture capital firms. Hong Kong Hong Kong is an ideal gateway to do business in China; it is located geographically at the entrance of China and culturally between the East and the West. Hong Kong is also famous for its open and free economy, sound legal system, low tax system, the world- class communication and its efficient transportation system. Hong Kong is the world's eleventh largest trading entity with the total value of imports and exports exceeding its gross domestic product. Much of Hong Kong's exports consist of re-exports, which are products made outside of the territory, especially in mainland China, and distributed via Hong Kong. Municipal Cooperation with Xuzhou The Confederation has coordinated a meeting between the City of Brampton and officials of the City of Xuzhou to explore linkages and alliances between the two municipalities. Like Brampton, Xuzhou is known for its convenient location as a transportation hub. Xuzhou is located in northwestern Jiangsu Province, and is connected by highways and railway to major urban centres including the City of Shanghai. Brampton has a formal Sister City relationship with Benxi in Liaoning Province. This relationship was established by Mayor Whillans during his mission to China in 1989. rz-i-s Status of 2012 Activities: International Business Development and Marketing Plan The six trade missions undertaken by Brampton Economic Development this year include:
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